BLOOM ENERGY FOR PRODUCING ELECTRICITY

SANDEEP SINGH1, JASPREET SINGH GHUMAN2 & RAKESH KUMAR3

Email:1sandeeptind@yahoo.com; 2jasghuman@live.com; 3raj5sept@rediffmail.com

Abstract: The primary purpose of this paper is to examine the technical implications of the Bloom Box fuel cell. Secondly
the report evaluates the Bloom Box as a potential electricity source for homes and private businesses based on the economic
advantage that it may provide. It also compares the Bloom Box to other off grid electricity options. Lastly, based on the
compiled data, the report provides a group opinion of the Bloom Box’s potential.

Keywords: Bloom energy, Bloom box, Bloom box fuel cell, SOFC,

1. INTRODUCTION

The most prominent modern application of the solid

oxide fuel cells is the “Bloom Box” whose history
stems from Dr. K. R. Sridhar’s research group for the
NASA Mars exploration program. The group was
looking to develop a sustainable, yet efficient, energy
source at the Space Technologies Laboratory at the
University of Arizona, but later moved on to form
the current company, Bloom Energy in 2001-2002,
after securing funding from a few venture capital
firms (Bloom Energy Website, 2010). The latest
Bloom Box model, the Bloom Energy ES-5000
which can intake natural gas, hydrogen, or even
garbage dump gas costs $700,000-800,000
(Bloomberg, 2010). It is capable of generating
100kW, enough electricity for approximately 100
homes. Since its entrance into the market in July
2008, it has been bought several Fortune 500 firms
including Google, Staples, Wal-Mart, FedEx, Coca-
Cola, and Bank of America. Its proven reliability and
economic efficiency has been shown in eBay’s Fuel cells are devices that convert fuel into
decision to use this SOFC fuel source in generating electricity through a clean electro-chemical process
15% of the electricity consumed in its main San Jose, without any combustion. This conversion technique
California headquarters (Christian Science Monitor, gives much higher conversion efficiencies than
2010). Such widespread use of this product is no conventional thermo-mechanical methods. The
mistake as it is highly economical, generating operating principles of fuel cells are similar to those
electricity at 8 to 10 cents a kilowatt hour, albeit with of batteries; i.e., includes an electro-chemical
subsidies from the state of California, much lower combination of reactants to generate electricity—a
than the usual commercial cost of electricity at 14 combination of a gaseous fuel (hydrogen) and an
cents/kilowatt hour (New York Times, 2010). This oxidant gas (oxygen from the air) through electrodes
seemingly miraculous technology does come with a and via an ion-conducting electrolyte. However,
few disadvantages and hurdles however. Besides the unlike a battery, a fuel cell does not run down or
high upfront capital costs, solid oxide fuel cells also require recharging. A fuel cell operates as long as
relies on extremely high operating temperatures, both fuel and oxidant are supplied to the electrodes,
around 800-1000 degrees Celsius. As a result, Bloom and the influence it exerts on the surrounding
Boxes may be vulnerable to breaking down if not environment is negligible.
managed and serviced properly. Furthermore, this
technology requires a slow start up as it needs to heat 2. SOLID OXCIDE FUEL CELL
up to the high operating temperature before being
able to fully run (Scientific American, 2010). Most A SOFC is a type of fuel cell valued for its potential
of the dangers of such a high operating temperature market competitiveness, with high efficiency in fuel
are harnessed, but it still causes some hindrances input and electricity output. A SOFC is like a
when it comes to efficient operation. rechargeable battery that always runs. It consists of

International Journal of Power System Operation and Energy Management ISSN (PRINT): 2231 – 4407, Volume-2, Issue-3,4
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 Bloom Energy for Producing Electricity
three parts: an electrolyte, an anode, and a cathode.
In Bloom’s SOFC, the electrolyte is a solid ceramic
square made from a common sand-like "powder.‖
According to Bloom’s patent description, these thin
white ceramic plates are Scandia stabilized Zirconia
(ScSZ). The anode and cathode are made from
special inks that coat the electrolyte on each side.
One side of the ceramic electrolyte plate is coated
with a green nickel oxide-based ink that works as an
anode; the other side, which works as a cathode, is
coated with black ink (most probably Lanthanum
Strontium Manganite—a non-radioactive substance).
The Bloom server does not require chemicals, such
as the corrosive acids used in conventional fuel cells.
Instead, it uses inexpensive metal alloy plates for
electric conductance between the two ceramic fast-
ion conductor plates, as opposed to the use of costly
precious metals like Gold or Platinum that are used
for high conductance in other fuel cells.
The electro-chemical process within SOFC
requires a high operating temperature (600-10000C)
for its reactions to take place. At a high temperature,
warm air enters the cathode side of the fuel cell. The
resulting steam mixes with the fuel to produce
reformed fuel; this reformed fuel enters the anode
side, and a chemical reaction takes place. As the
reformed fuel crosses the anode side, it attracts
oxygen ions from the cathode. Oxygen ions combine
with the reformed fuel to produce electricity, water,
and a small amount of carbon dioxide gas. Water is
recycled into the cell to produce steam to generate
reformed fuel, and this process also generates the
heat required for the functioning of fuel cells. The
continuous supply of fuel, air, and heat constantly
generates the electricity from the cell.
Each Bloom Energy fuel cell is capable of
producing about 25W of energy, which is enough to
power a light bulb. For more power, multiple cells
are mounted together, along with metal interconnect
plates, to form a fuel cell stack. A few stacks
together (about the size of a loaf of bread) are
enough to power an average U.S. home. In an Energy
Server multiple stacks are aggregated into a "power
module"; and multiple power modules, along with a
International Journal of Power System Operation and Energy Management ISSN (PRINT): 2231 – 4407, Volume-2, Issue-3,4
65
common fuel input and electrical output, are
assembled as a complete system. When more power
is required—for example, for commercial or
industrial sites—multiple Energy Serve systems can
be deployed side by side. The current Energy Server
in the market has the capacity to generate 100kW of
electricity, which would power a 30,000 sq. ft. office
building or 100 average-sized U.S. homes.
3. CONCLUSIONS
The costs should come down over time to the point
where Bloom boxes really can be used in homes.
One potentially disruptive feature of the technology
is that it works both ways: fuel can produce
electricity, but it can also go the other way so that
electricity produces fuel. Sridhar foresees the killer
app for his technology becoming practical in about a
decade: a Bloom home energy server combined with
solar panels or some other renewable energy. The
electricity from the solar panels could produce fuel,
which can be used to produce electricity to power the
house or even to gas up your (modified) car.
To determine the implications of the Bloom
Energy Server as a whole, the individual aspects of
the technical, economic, and social implications must
be considered together. Additionally it needs to be
compared to other equivalent renewable
technologies.
From a technical standpoint the Bloom Box
appears to perform as claimed. It contains some
improvements to the basic SOFC design, and can
achieve efficiencies higher than typical coal and
natural gas power plants. As stated in the technical
information section, Bloom Energy has some
advantages over other fuel cell companies, primarily
that they have been increasing their production rate
over the past two years, and have a method to
guarantee a continuous level of performance as the
fuel cell ages. Going forward, other companies could
easily have a better product than Bloom Energy.
When similar technologies are competing one
variable that can determine the value of one product
compared to another is the price. Price can not only
be a determining factor in what product people buy
but also who the product is available to. The cost of a
100 kW Bloom Box has been previously stated to be
between $700,000 and $800,000. This initial price is
much higher than that for an equivalent wind turbine
installed which from one distributer costs 495
thousand dollars. This price is comparable to an
equivalent installation of solar panels, which in 2005
cost the city of Oakland roughly 800 thousand dollar
to have installed before any federal or state
incentives. It is important to remember that a Bloom
Box is able to produce constant electricity twenty
four hours a day, seven days a week, unlike either
solar or wind technologies. Although the Bloom Box
costs significantly more, depending on a customer’s
particular needs it could certainly be a wiser
 Bloom Energy for Producing Electricity
investment than either 100 kW of wind or solar
power.
On the other hand, a Bloom Box requires a
constant supply of fuel, meaning it not only has a
higher initial cost than wind, it also has an operating
cost that is not present in either wind or solar
electricity generation systems. In order to take this
into account, the return on investment in each
technology was considered. As previously discussed,
the average ROI of an unsubsidized Bloom Box in
California is slightly sooner than a wind turbine if
run on natural gas, but much longer if it is being run
on directed biogas. In both cases the unsubsidized
Bloom Box has a better ROI than solar power. From
a strictly monetary point of view, a Bloom Box
appears to be the best option for commercial
customers seeking to reduce their carbon footprint.
Another important economic aspect to consider
when analyzing energy technologies is federal and
state government subsidies. Applied subsidies can
greatly reduce initial costs to the consumer allowing
for much quicker ROI. As previously stated,
subsidies allow a Bloom Box in California run on
directed biogas to quickly save a customer money
compared to all other analyzed technologies.
Since the Bloom Energy Corporation only sells
their servers within the state of California and has not
announced any plans to change this, it is rather
difficult to suggest the Bloom Box monetarily to any
companies outside of California. Companies that
operate within the state of California, however,
appear to have a product worth considering;
assuming current subsidy levels remain in place.
Overall the Bloom Box has potential as an
alternative energy source for businesses as long as
the current levels of subsidies remain in place.
Additionally the Bloom Electrons Service is an
extremely beneficial program for consumers, but the
economics of the current system do not seem
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International Journal of Power System Operation and Energy Management ISSN (PRINT): 2231 – 4407, Volume-2, Issue-3,4
66
profitable over the long term for Bloom
Electrons, although it is providing Bloom Energy
with an immediate profit. From a technical
standpoint a Bloom Box seems to have an advantage
over traditional generators if cost is not considered. It
produces less noise and fewer pollutants than a
traditional generator due to the fact that it operates at
a higher efficiency. It has some advantages over
alternative systems such as solar and wind
generators, and in some cases is preferable to solar or
wind systems. Although the Bloom Box still
produces emissions when run on natural gas, it still
appears advantageous over solar and wind systems in
place. The carbon neutral nature of running a Bloom
Box on biogas cannot be taken into account because
of the current availability of biogas. The major
question is if Bloom Energy can reduce the cost of a
Bloom Box to a reasonable amount without the
government subsidizing over 67% of the cost, which
in turn is passed on to electricity companies (who
pass the cost on to customers) and taxpayers.
However considering the cost has remained static for
the past two years despite improvements in
production, and the recent suspension of state
subsidies in California, the Bloom Box does not
seem to be likely to have a significant impact without
additional improvements to the technology.
REFERENCES
[1]. http://www.bloomenergy.com
[2]. http://www.csmonitor.com/USA/Society/2010/0222/Bloo
m-box-what-it-is-and-how-does-it-work
[3]. http://www.engadget.com/2010/02/22/the-bloom-box-a-
power-plant-for-the-home
[4]. Avadikyan, A., Cohendet, P., & Heraud, J. (Eds.). (2003).
The Economic Dynamics of Fuel Cell
Technologies.Berlin,NewYork:Springer.